Bangkok Airways CEO resigns for stock manipulation allegations

- A Monitor Desk Report 23 Jan, 2019 | 2567 Views|-+
Dhaka: Prasert Prasarttong-Osoth, Chief Executive Officer of Bangkok Airways has resigned his positions in the company due to official sanctions in regard to his involvement in manipulating company stock.

In a statement, the airline said that the CEO has renounced his posts as director, vice chairman, chairman of the executive management committee and chief executive officer.

Narumon Chainaknan, executive secretary to the chief executive’s office, has also stepped down.

A statement from the Securities Exchange Commission claims that Prasarttong-Osoth, his daughter Poramaporn Prasarttong-Osoth, and Chainaknan conspired to manipulate the company’s shares through order matching from 13 November 2015 to 12 January 2016.

The SEC has imposed a fine of Bt499 million ($15.7 million).

In addition, Thai security laws require that they leave their positions.

The SEC claims that they concealed their activities “to mislead the public regarding the share price and trading volume of BA. Consequently, the Bangkok Airways price and trading volume became inconsistent with normal market conditions.”

Share price data indicates that the airline’s stock rose from Bt20.50 in mid-November 2015 to Bt25 in mid-January 2016. The company was listed on the Stock Exchange of Thailand in November 2014.

The Bangkok Airways statement adds that the three individuals will protest the allegations to “prove their innocence in this matter through the justice system.”

Prasert Prasarttong-Osoth, aged 85, also owns Thailand’s largest private healthcare group, Bangkok Dusit Medical Services, from which he has also resigned following the Bangkok Airways stock manipulation sanctions.

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